Online Fraud Prevention and Our Solution

A number of scam artists have specifically targeted online shops, and although the majority of users are legitimate, these scammers are making it more difficult for everyone to do business. As online shopping increases, so do cyber crimes. The measures to prevent fraud must fall in step with this increase, if online criminal activity is to be curbed.

Auction fraud accounts for three-quarters of all grievances listed with the FBI's Internet Crime Complaint Center - Buyers never get the product they purchased, or they get a product inferior to the one they ordered.. Buyers use phony names and addresses, and shop with fraudulent credit cards. How do you verify that you're dealing with a legitimate person and not a fake? Simple. Have the people you do business with take an ID verification test.

These tests are simple. They consist of 5-6 multiple-choice questions, and all you need to supply us with is the other party's full name and e-mail address. We ask them questions such as, in what state was your social security number issued? Or, what is your former address? A genuine customer would ace the test. A scam artist would probably evade taking it.

Another common avenue fraudsters use is email. You can use common-sense approaches to avoid being conned, such as accepting only PayPal as a form of payment for your goods and services, or deleting unsolicited emails that offer you credit from government agencies and other organizations. . You can also back up your due diligence with ID verification tests. Your bank asked you to confirm your PIN number? If they really need this information (and they don't - banks never ask customers for PIN numbers or passwords) their representative shouldn't mind submitting to a little ID verification test.

In addition to administering ID verification tests, you should examine all of your business and personal accounts closely, and watch out for irregular activity. Change your password every 60 to 90 days. You should also update your anti-virus software regularly. Also, look closely at the emails you receive - fraudsters often send messages that are poorly written, with grammar or spelling mistakes.

Aside from email, scammers also make use of dating and social network sites. They also send text messages to unsuspecting mobile phone users, and they contact victims using instant messaging software. Regardless of the medium they choose, you can invite them to do an ID verification test. If they're genuine, they'd be happy to comply.

If, in spite of your precautions, you're hit, you need to take action. If you're ripped off on an auction site, file a complaint with the site's fraud complaint department. If they hit your e-commerce site, report the matter to the police, or to the Internet Fraud Complaint Center mentioned earlier. Contact law enforcement officials at the local and state level, and in the perpetrator's town and state. Leave no stone unturned in bringing scammers to justice and help shut down their operations before they move on to other unsuspecting victims.

Most scams involve a long distance buyer or seller whose offer includes a cashier's check, postal money order, Western Union or escrow service, and who seems reluctant to meet face-to-face. If they're also reluctant to take the ID verification test, walk away. If they take the test and fail it, walk away. You can feel safe with people who willingly take the test and ace it, because while scam artists can beat the system, we have yet to meet one who can beat our test!

The ID Verification Service provided by SafeID uses Patent Pending Technology not available anywhere else.